Job Openings in U.S. Decreased 163,000 in September

Job openings in the U.S. dropped in
September for a second month, signaling a sustained labor market
rebound will take time to develop, a government report showed.

Openings decreased by 163,000 to 2.93 million, the Labor
Department said today in Washington. The number of people hired
rose from the prior month and separations declined.

The unemployment rate was 9.6 percent for a third month in
October even as payrolls increased 151,000, Labor Department
figures showed last week. Growth in the world’s largest economy
may need to quicken before enough jobs are created to make up
for the recession-driven loss of more than 8 million positions.

“Labor demand is simply not strong enough to support a
complete job recovery,” Henry Mo, an economist at Credit Suisse
in New York, said in an e-mail to clients. There is “intense
competition among job seekers.”

Openings fell 5.3 percent in September from a revised 3.09
million in the prior month that was smaller than previously
estimated.

The rate of job openings fell to 2.2 percent from 2.3
percent, according to today’s report. Leisure and hospitality
and professional and business services accounted for the biggest
decreases in available employment, while manufacturing,
education and construction increased.

Compared with the 14.8 million Americans who were
unemployed in September, today’s figures indicate there are 5
people vying for every opening, up from about 1.8 when the
recession began in December 2007.

October Payrolls

The report helps shed light on the dynamics behind the
monthly employment figures. Private payrolls, which exclude
government positions, rose by 159,000 workers in October, more
than forecast and the most since April, Labor Department figures
showed on Nov. 5.

Employers took on 4.19 million workers in September, up
34,000 from the previous month, according to today’s report.
Total firings, which exclude retirements and those who left
their jobs voluntarily, dropped to 1.79 million from 1.86
million a month before. Government agencies dismissed 203,000,
which includes the cuts related to the census.

Federal Reserve policy makers last week announced a second
round of large-scale asset purchases in a bid to spur economic
growth and help reduce unemployment.

Holiday Hiring

The job market may get a boost through year’s end as
retailers take on more workers for the holiday shopping season
starting this month. Department store chain Kohl’s Corp. plans
to hire about 40,000 people for the holiday period, 21 percent
more than last year. Toys “R” Us Inc. said it may add about
45,000 employees for the season, including 10,000 at its
temporary stores.

Others are starting to plan ahead. Ford Motor Co., the
second-largest U.S. automaker, plans to add 1,200 jobs in
Michigan by 2013 as sales rebound.